Community Renewable Energy Program

June 21, 2024

Summary

Senate Bill 1050, enacted in June 2015, created the Hawaii Community-Based Renewable Energy (CBRE) program. The legislation established the broad parameters for the program, and charged the Public Utilities Commission with further fleshing out the rules and approving CBRE tariffs filed by the utilities.

Phase 1 CBRE

In December 2017, the Commission adopted a Phase 1 CBRE Framework and directed the utilities to file tariffs consistent with the framework. The framework adopted different capacity allocations and credit rates for the different islands:

Oahu - 5.0 MW, $0.15/kWh
Hawaii Island - 1.0 MW, $0.15/kWh
Maui - 1.0 MW, $0.165/kWh
Molokai - 0.5 MW, $0.225/kWh
Lanai - 0.5 MW, $0.26/kWh

Phase 1 was launched in June 2018.

Phase 2 CBRE

In April 2020, the Commission adopted a Phase 2 CBRE Framework. Phase 2 features an increased aggregate capacity cap from 8 MW in Phase 1 to 235 MW. It also includes a requirement for three dedicated LMI projects, one on Oahu, one on Hawaii Island, and one on Maui. The order also set aside 30 MW of the total program capacity for projects smaller than 250 kW, and directed HECO to develop a simplified tariff for these projects. For the first tranche of small projects, the credit rates will remain the same as for Phase 1: $0.15/kWh for Oahu and Hawaii, and $0.165/kWh for Maui. Larger projects will be chosen by HECO through RFPs, and subscriber organizations and project developers will propose their own credit rates in their bids.

Program Overview

Implementing Sector:	State
Category:	Regulatory Policy
State:	Hawaii
Incentive Type:	Community Solar Rules
Web Site:	https://energy.hawaii.gov/community-based-renewable-energy
Administrator:	Hawaii Public Utilities Commission
Start Date:
Eligible Renewable/Other Technologies:	Solar Photovoltaics
Applicable Utilities:	Hawaiian Electric Company, Inc. Hawai'i Electric Light Company, Inc. Maui Electric Company, Limited
System Capacity Limit:	Phase 2: 250 kW minimum No stated maximum, but the following system sizes will be allowed to proceed through the RFP process on the respective island without further regulatory review: Oahu: up to 5 MW Maui and Hawaii Islands: up to 2.5 MW
Program Capacity Limit:	Phase 1: 8 MW Phase 2: 235 MW
Participant Credit Rate:	Oahu - $0.15/kWh Hawaii Island - $0.15/kWh Maui - $0.165/kWh Molokai - $0.225/kWh Lanai - $0.26/kWh
Low-Moderate Income Provisions:	Minimum one uncapped LMI project each on the islands of Oahu, Hawaii, and Maui.

Authorities

Name:	HRS §269-27.4
Date Enacted:	07/08/2015

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.